Report: Murdoch paper got PM's data

Rupert Murdoch will delay indefinitely his attempted $19 billion acquisition of satellite provider BSkyB as new revelations surfaced that the private medical records of then-Prime Minister Gordon Brown’s family were illegally obtained by other News Corp. outlets, according to British news reports Monday.

The BSKyB move came in the form of a withdrawal of News Corp.’s offer to spin off its Sky News division, which was required before U.K. regulators would allow the takeover bid to proceed. It does not necessarily end Murdoch’s takeover bid, but will mean “a long delay” as the bid is referred to Britain’s Competition Commission the BBC said.

News Corp. issued a statement in response to the Brown allegations that implied the reeling company does not know the extent of the specific situation.

“We note the allegations made today concerning the reporting of matters relating to Gordon Brown,” it said. “So that we can investigate these matters further, we ask that all information concerning these allegations is provided to us.”

The Guardian reported Rebekah Wade, then the editor of the Sun and now the CEO of News International, called Brown in 2006 to inform him that the paper had “obtained details from the medical file of their four-month-old son, Fraser, which revealed that the boy was suffering from cystic fibrosis.”

The stunning disclosure marks the first time the scandal, which began at the now-shuttered The News of the World tabloid, has spread to other News Corporation properties. James Murdoch announced last week that The News of the World would close in an attempt at damage control.

And the Daily Mirror reported that News of the World sought to hack into cell phones of victims of the Sept. 11 terror attacks.

The Guardian reported that Brown’s attorneys “were tricked” into giving up details from his legal file to “a conman working for the Sunday Times,” News Corp.’s upmarket flagship newspaper.

Culture Secretary Jeremy Hunt said his referral to the Competition Commission will allow for more investigation into News Corp. operations.

“Today’s announcement will be an outcome I am sure the whole house will welcome,” he told Parliament. “It will mean that the Competition Commission will be able to give further, full and exhaustive consideration of this measure, taking into account all relevant recent developments.”

Meanwhile, Prime Minister David Cameron, a Conservative, said Murdoch should abandon efforts to acquire the satellite operator – of which News Corp. already owns 39 percent – to focus on the spiraling crisis.

“If I was running that company right now with all the problems and the difficulties and the mess frankly that there is I think they should be focused on clearing those up rather than on the next corporate move,” Cameron said Monday. “That is the view I would take if I was running that company. But what government has to do is follow all the correct procedures and processes and that is exactly what we will do.”